{This is part one of a two-part series covering tariffs and how they affect various states in the USA.  Part Two part 2 of this series will investigate the political ramifications of these tariffs and how they affect the top 20 states.}

By:  Aubrey Miller, NewsWorld Staff Writer

 

The Trump administration is fighting many political battles.  One of these battles will affect millions of people across the country economically and employment wise.  Trade and fair trade is a highly important battle and is gearing up to be a trade war with our allies and other foreign countries.

Pres. Trump campaigned on the promise of righting the wrongs that he perceives regarding unfair trade practices by our allies and other countries.  It should be no surprise that Canada is on that list.

Pres. Trump and candidate Trump pledged to rework and rewrite the North American Free Trade Agreement (NAFTA).  Recently the president announced new trade tariffs against Canada.  Canada, in turn, is retaliating against the USA and has announced new tariffs on American goods.

In May of this year, the president proposed new tariffs on steel and aluminum. On June 1, 2018, the new tariffs went into effect; 25% on imported Canadian steel and 10% on imported Canadian aluminum.  Now the President has his eyes on Auto Imports with a 25% Tariff on imported Canadian Vehicles.

Many of the political pundits say this tit-for-tat will cost our country jobs and our citizens to pay higher taxes for goods and services coming from Canada.  Forecast for job losses and reductions in auto sales are significant.

According to a Bing search, LMC Automotive is the leading provider of automotive production, sales and powertrain forecasts and automotive industry market intelligence.  LMC reports that in 2018 the tariffs could cause a reduction of 2 million car sales this year. This could amount to roughly a 10% sales drop.

Automotive News reports that job losses resulting from the tariffs could be as high as 624,000 jobs and reduce domestic production by about 4%.

On Sunday, June 24, 2018, while many in American’s were watching World Cup Soccer, this reporter was watching Olympians Brady Ellison, and McKenzie Brown of the USA beat Russia on the 3rd stage of the 2018 archery World Cup in Salt Lake City.  During this time various media outlets started reporting on the negative effects of the potential economic impact to various states in the country.  The news is not good for this list.

 

Preparing for the worst of the following 20 states that could be severely impacted by these tariffs:

 

20. Kansas

Percent of Vehicles manufactured in Canada: 5.48%

Total new vehicle sales 2016: 101,985

Average new car MSRP: $34,002

 

 19. Minnesota

Canadian produce Vehicles: 5.48%

Reported vehicle sales totals for 2016: 247,334

MSRP New Car Average Value: $34,049

 

 18. Kentucky

Vehicles manufactured in Canada: 5.52%

Reported vehicle sales totals for 2016: 145,795

MSRP New Car Average Value: $32,353

17. Ohio

Vehicles manufactured in Canada: 5.60%

Reported vehicle sales totals for 2016: 600,153

MSRP New Car Average Value: $31,609

 

 16. Illinois

Vehicles manufactured in Canada: 5.64%

Reported vehicle sales totals for 2016: 641,876

MSRP New Car Average Value: $32,657

 

15. North Carolina

Vehicles manufactured in Canada: 5.72%

Reported vehicle sales totals for 2016: 447,137

MSRP New Car Average Value: $32,042

 

14. Georgia

Vehicles manufactured in Canada: 5.73%

Reported vehicle sales totals for 2016: 487,689

MSRP New Car Average Value: $32,069

 

13. Maryland

Vehicles manufactured in Canada: 5.77%

Reported vehicle sales totals for 2016: 330,140

MSRP New Car Average Value: $31,712

 

12. Arizona

Vehicles manufactured in Canada: 5.80%

Reported vehicle sales totals for 2016: 375,331

MSRP average new car value $31,772

 

11. New Jersey

Vehicles manufactured in Canada: 5.82%

Reported vehicle sales totals for 2016: 573,898

MSRP New Car Average Value: $33,575

 

  

10. Mississippi

Vehicles manufactured in Canada: 5.93%

Reported vehicle sales totals for 2016: 922,186

MSRP New Car Average Value: $32,800

 

9. Arkansas

Vehicles manufactured in Canada: 6.12%

Reported vehicle sales totals for 2016: 930,713

MSRP New Car Average Value: $33,988

 

8. Indiana

Vehicles manufactured in Canada: 6.15%

Reported vehicle sales totals for 2016: 242,972

MSRP New Car Average Value: $32,853

 

7. Wisconsin

 

Vehicles manufactured in Canada: 6.15%

Reported vehicle sales totals for 2016: 253,758

MSRP average new car value $33,420

6. Texas

Vehicles manufactured in Canada: 6.23%

Reported vehicle sales totals for 2016: 1.52 million

MSRP New Car Average Value: $33,859

 

5. South Carolina

percentage of Vehicles manufactured in Canada: 6.24%

Reported vehicle sales totals for 2016: 223,895

MSRP New Car Average Value: $32,031

 

4. Oklahoma

Vehicles manufactured in Canada: 6.29%

Reported vehicle sales totals for 2016: 740,265

MSRP New Car Average Value: $31,683

 

3. Delaware

Vehicles manufactured in Canada: 6.34%

Reported vehicle sales totals for 2016: 49,570

MSRP New Car Average Value: $32,118

 

2. Iowa

Vehicles manufactured in Canada: 6.82%

2016 total new vehicle sales: 133,581

MSRP New Car Average Value: $34,860

 

1. Michigan

Vehicles manufactured in Canada: 8.47%

Reported vehicle sales totals for 2016: 635,873

MSRP New Car Average Value: $33,787

 

All photo’s from Shutterstock.com

 

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